Joe's Crab Shack owner Ignite Restaurant Group has officially filed a chapter 11 reorganization plan that confirms a California private equity group as its preferred bidder, intensifying a derisive court battle with Tilman Fertitta's restaurant empire, the Houston Chronicle reported on Friday. In the plan, Houston-based Ignite reaffirmed its intent to sell its restaurant chains, which also includes Brick House Tavern + Tap, to KRG Acquisitions Co. The company, an affiliate of a San Diego-based firm called Kelly Cos, agreed last month to pay $50 million for both brands. The bid sparked a controversy with Landry's, Tilman Fertitta's privately held restaurant and entertainment operation. The company in court filings offered $55 million for both restaurant chains and argued it should unseat KRG as the preferred bidder because its higher bid aligns with Ignite's obligation to secure the best sale price for its creditors.
